Internal pricing policies have long been a challenge for companies with multiple operating units, a challenge that is further compounded for businesses that operate in multiple countries. Resource allocation decisions and business unit profit incentives must be deployed against a backdrop of increased vigilance by sophisticated national tax authorities, which require that intercompany transactions be priced as if negotiated by independent, unrelated parties. The situation is further complicated by US legislation that creates strict independence standards for firms providing advice and counsel in this area.

In the latest version of Practical Solutions for Intercompany Pricing, NERA experts analyze the major issues facing multinational corporations and recommend strategies for developing effective transfer pricing policies that integrate business and tax considerations. NERA’s transfer pricing specialists advocate proactively addressing internal pricing policies to minimize the corporate tax burden and reduce exposure in the audit stage.